Which of the Following Is Not a Factor That Makes

question 24

Multiple Choice

Which of the following is not a factor that makes an alliance "strategic" as opposed to just a convenient business arrangement?

• A) The alliance is critical to the company's achievement of an important objective.
• B) The alliance helps block a competitive threat.
• C) The alliance helps open up important new market opportunities.
• D) The alliance helps build, enhance, or sustain a core competence or competitive advantage.
• E) The alliance helps the company obtain additional financing on better credit terms.

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Definitions:

Active Government Intervention

The involvement of the government in the economy to correct market failures, redistribute resources, or stabilize the economy.

Fiscal Policy

Government policies regarding taxation and spending that are used to influence economic conditions, including levels of employment, inflation, and economic growth.

Stagflation

An economic condition characterized by stagnant growth, high unemployment, and high inflation.

Potential Output

The maximum amount of goods and services an economy can produce when it utilizes all of its resources efficiently, without causing inflation.